Transit Clothing joined the voluntary administration, with four stores that close in WA.
Dura Mandurah, Dunsborough and Perth branches will close immediately, followed by Clarkson's outlet on Saturday.
All staff members affected by the closures will be dismissed by the retailer, known for selling casual clothes, shoes and accessories.
The remaining stores of the Belmont Forum, Cockburn Gateway, Westfield Carousel, Lakeside Joondalup and Watertown are ready to hold a sale discounted up to 70% from Thursday.
The managing director of FTI Consulting, Daniel Woodhouse, said that the retailer faced consumer demand, declining sales revenues and relatively high store leasing costs.
"Transit Clothing has been a successful retailer for a long time, with a significant store footprint, a wide range desired by the target market and a successful online presence but unfortunately found itself between rock and a difficult place for falling sales and fixed rental costs for shops, "said Woodhouse.
"Our appointment as directors will allow the business to breathe while we try to continue to trade the business, leaving most of the stores open.
FTI could not rule out future closures while trying to restructure the business.
The retailer is the last to fall victim to WA's harsh retail climate, following in the footsteps of Rosendorff Jewelers who held a $ 9 million sale last week after being placed in receivership.
Transit was founded in Perth in 2004 and reached 18 sales outlets in 2011.
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